Sustainability Index

Our customers desire products that are more efficient, last longer and perform better. They want to know the product’s entire lifecycle. They want to know the materials in the product are safe, that it is made well and is produced in a responsible way.

These desires inspired us to help develop the sustainability index. With this initiative, we are helping create a more transparent supply chain, accelerate the adoption of best practices and drive product innovation and ultimately providing our customers with information they need to assess products’ sustainability.

The index is being introduced in three phases:

Step 1: Supplier Sustainability Assessment

We provided our more than 100,000 global suppliers with a brief survey to evaluate their own sustainability. The survey, taken by our top-tier suppliers by October 1, 2009, represents a key step toward enhancing transparency in our supply chain. We are continuing to roll out this assessment in our international markets. View the Supplier Sustainability Assessment and watch the Supplier Sustainability Assessment Webinar to learn how best to complete this survey and discover sustainability opportunities.

Step 2: Lifecycle Analysis Database

Second, we are working with The Sustainability Consortium to collaborate with suppliers, retailers, non-governmental organizations (NGOs) and government officials to conduct research and develop data and tools that will enable research-driven product sustainability measurement and reporting. The Consortium will help develop a global database of information on products’ lifecycles – from raw materials to disposal. We provided initial funding for the Sustainability Index Consortium and invite other retailers and suppliers to contribute. Arizona State University and the University of Arkansas will jointly administer the consortium.

Step 3: A Simple Tool for Customers

The final step of the index is to improve the sustainability performance of the produces our customers prefer. Our objective includes the development of merchant tools that will help our merchants understand and improve the sustainability of our products. Ultimately, we will provide customers with information about products in a simple, easy-to-understand manner, helping them save money while they help their families, and the world, live better.

We are excited about this initiative and believe that if we work together, we can create a new retail standard for the 21st century.